Costa Mesa-based Emulex Corp. on Tuesday slashed its earnings and sales guidance for the quarter ended April 2, sending its stock down more than 4% in afterhours trading.
The company,a maker of host bus adapters and other networking gear,cut its adjusted earnings estimate to $16.8 million to $17.6 million, down from $22.6 million to $23.5 million. Analysts were looking for $22.6 million.
Emulex reduced its revenue estimate to $88 million to $89 million, down from $106 million to $108 million. Analysts were looking for $107.3 million.
The company blamed the revised outlook on declines in demand from two major customers.
Emulex saw delays in the launch of its next generation of host bus adapters for new servers and storage computers.
Demand slowed as customers waited for “certified” products to be used with new host bus adapters, Chief Executive Paul Folino said.
The launch was scheduled for the previous quarter, but has been put off until the present quarter, the company said.
